Seat Number

•ã¨ãã - 048

*5784*

Project & Business Management

(126116 / 216116)

P. Pages : 4
Time : Three Hours Max. Marks : 80
_________________________________________________________________
Instructions to Candidates :
1. Do not write anything on question paper except Seat No.
2. Graph or diagram should be drawn with the black ink pen being
used for writing paper or black HB pencil.
3. Students should note, no supplement will be provided.
4. Attempt any two subquestions from each unit.
5. Use of non programmable calculator and standard normal
Distribution function table is allowed.
6. Figures to the right indicate full marks.

UNIT - I

1. a) i) Describe "Life Cycle Curve" with sketch. 4

ii) Define project monitoring. Explain steps involved in project 4

monitoring briefly.

b) Describe role & responsibilities of a project manager. 8

c) An assembly consist of 10 work elements with following precedence 8

relationships. The desired output capacity is 60 per day. No. of shifts
is 2. Design the assembly line.

Work element 1 2 3 4 5 6 7 8 9 10

Immediate - 1 2 3 3 3 3 5 4,5,6, 9
Precedence 7,8
Duration (min) 8 6 7 5 5 5 6 7 9 8

Draw precedence diagram.

Calculate line efficiency, balance delay & smoothness index.

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UNIT - II

2. a) Draw the network diagram for the following. Also calculate various 8
time estimates, total float & project duration. Mark critical path.

Activity 1-2 1-3 1-4 2-3 2-6 3-5 3-6 4-5 5-6
Duration 3 4 14 10 5 4 6 1 1
(days)

b) From the following informations. Draw the network diagram. 8

Determine (i) The expected time and variance for each activity. (ii)
Probability of completing the project in 22 days. (iii) Time duration
that will provide 92% probability of its completion time mark critical
path.

Activity Immediate to tm tp
precedence
A - 2 7 12
B - 4 5 6
C A 6 9 12
D A 2 5 8
E B 2 4 6
F B 6 6 12
G D, E 4 5 6
H C 4 5 6
I F 3 5 7

c) A project consist of following activities. 8

Activity Cost Time (days)

Normal Crash Normal Crash
1 - 2 400 900 9 7
1 - 3 500 800 5 3
1 - 4 450 1000 10 6
2 - 5 600 1000 8 6
3 - 5 1000 1300 7 5
4 - 5 900 1200 9 6

Draw the network. Indirect cost = Rs. 120 per day. Find the optimum
project duration & minimum project cost by crashing.

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UNIT - III

3. a) Define co-operative organization. Explain the characteristics of co - 8

operative organization.

b) Define Joint stock company. Explain the procedure for forming the 8
joint stock company.

c) Compare partnership and Joint stock company. 8

UNIT - IV

4. a) Describe working cycle capital with neat sketch. Also describe the 8
factors affecting the working capital.

b) i) Draw break even chart & show BEP, margin of safety (in Rs. & 4
in units) & angle of incidence.

ii) A drill press costs Rs. 60,000. A discount of 25% is offered to 4

distributor. If the labour cost, material cost and factory
overheads are 4:1:2; and selling expenses are 25% of the
factory cost, calculate the profit of the factory for one drill
press. Assume factory overheads of Rs. 8000.

c) i) Differentiate Shares & Debentures. 4

ii) The following figures relate to small unit. 4

Sales = Rs. 40,00,000
P/V ratio = 30%
Margin of safety = 20%
Find out BEP and Profit.

UNIT - V

5. a) i) Define material management. List the objectives of material 4

management.

ii) Name & describe various buying techniques. 4

b) i) Explain the reasons for maintaining adequate stock of 4

inventories.

ii) Describe ABC analysis. Briefly state it's applications. 4

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c) A company uses 4000 numbers per annum of special stud. The studs 8
are produced from a local manufacturer at a basic price of Rs. 10
each. The procurement cost per order is Rs. 20; inventory carrying
cost is 20%. The supply offer following discount on the basic price
for order quantities.
Order quantity Discount
800 - 1599 2%
1600 - 3199 4%
Determine the order quantity for optimum cost.

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